In most provinces in Canada, businesses are required to register in the province where they want to carry out business; this process is also known as Extra-Provincial Registration.
Since the registration of businesses is governed by provincial authorities, the registration procedure differs from province to province across Canada.
Extra-Provincial Registration in Canada
When you incorporate a business in Canada, you can do so as a Federal corporation or a provincial corporation. If you incorporate as a Federal corporation, you will have to choose which province(s) to register into. Just like if you incorporate as a provincial corporation, this will allow you to conduct business in that province only. If you also choose to conduct business in other provinces, you will need to register with each province.
The process of registering in other provinces or territories is referred to as extra-provincial registration. Each province has its own requirements for completing this process.
Exceptions in Provincial Registration in Canada
Some provinces have special agreements between them to allow businesses to operate without an extra-provincial registration. Three of these provinces are Saskatchewan, British Columbia, and Alberta.
Nova Scotia and New Brunswick also have an agreement allowing a business that is incorporated in one province to conduct business in the other without an extra-provincial registration.
Ontario and Quebec are two other provinces that do not require an extra-provincial license to conduct business, provided you incorporate in one of the two provinces. Manitoba requires a “Request for Name Reservation” and a “Form 5: Application for Registration” to be submitted if you are not originally incorporated in Manitoba.
Special Exception to Provincial Registration in Canada
Ontario is a special exception because any business can operate in that province regardless of where its headquarter is. Ontario does, however, require an Initial Return/Notice of Change, Form 2 under the Corporations Information Act to be filed. A NUANS name search report, an original Certificate of Status and a cover letter are also required.
Timeline of Provincial Registration in Canada
In the majority of cases, extra-provincial registrations must be completed at least 60 days before conducting business in a particular province or territory. A qualified lawyer can advise you as to whether an extra-provincial registration is required in the province or territory you wish to do business in. Another thought to keep in mind is the possibility that the name you have chosen for your company could be the cause for denial of an extra-provincial registration.
An online registration service allows you to register your sole proprietorship, partnership or corporation quickly through their website. This service allows you to proceed with the registration in all the provinces of Canada.